Scorpio Mining Corporation (TSX:SPM) ("Scorpio" or the "Company") is pleased to announce that the Secretariat of Environment and Natural Resources (SEMARNAT) for the State of Sinaloa, Mexico, has approved the application for the Change of Use of Soil (CUS) submitted by its wholly-owned subsidiary, Minera Platte River Gold, S. de R.L. de C.V., pertaining to the development of underground mining operations at the El Cajón Project, located in the Cosalá Norte District.
The CUS permit allows Scorpio to commence surface work on the El Cajón Project. Having previously reached an agreement with, the ejido of Higuera Larga, the surface rights owner, and having received approval of the Environmental Impact Study, in April of this year, this was the final permit required to commence construction activities. Initiation of said activities is planned to start during the first quarter of 2014.
A prefeasibility study presenting a reserves statement for the El Cajón deposit is also scheduled to be completed during Q1 2014.
Pierre Lacombe, President and CEO of the Company comments, "We are extremely pleased that this major milestone is behind us as it will allow Scorpio to move forward with the development of El Cajón and sustain continued mining activities in the Cosalá District, in a socially and environmentally responsible manner, for the benefit of the region and of our stakeholders."
Mr. Lacombe added; "We appreciate the efforts of our team, supporting
consultants and our special recognition goes to the members of the Sinaloa Secretariat of Economy, SEMARNAT and to the local communities for their continuing support."
About Us
Scorpio Mining Corporation is a silver producer operating in Mexico with
significant base metal by-product credits. The 100% owned Nuestra Señora Mine in the Cosalá District of Sinaloa State, Mexico, has flexible mining methods and diversified metal production. It has a fully mechanized underground operation and a processing facility with permitted capacity for expansion to 4,000 tonnes per day. The plant produces zinc, copper and lead concentrates, with a significant payable silver component in the copper and lead concentrates.
In addition, the Company has numerous exploration targets in the vicinity of its current operations as well as the advanced El Cajón and San Rafael development projects. The Company's strategy for near-term growth is currently focused on mine development at the El Cajón deposit.
Scorpio Mining's President and CEO, Mr. Pierre Lacombe, Eng., is a Qualified Person as defined under National Instrument 43-101 and has reviewed and approved the content of this release.
